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Why Quants Are Flooding Into Bitcoin
Back in 2017 when the VIX traded in single digits for a record period of time and equity volatility effectively disappeared, daytraders and momentum chasers were desperate for any "exotic" asset that provided at least some daily swings to provide the ability to generate P&L, and as bitcoin broke out in fits and starts, many of them gravitated toward the cryptocurrency whose staggering realized daily vol was just what they needed. Ironically, they all piled in... just as Asian retail traders pulled the rug from below the crypto space, which crashed in early 2018 just as fast as it had risen, leading the massive losses ... (full story)
